Bitcoin Price Prepares Colossal Move To $50,000 As US Promises Not To Ban Crypto Like China

By John Isige
Published October 1, 2021 Updated October 1, 2021
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Bitcoin Price Prepares Colossal Move To $50,000 As US Promises Not To Ban Crypto Like China

By John Isige
Published October 1, 2021 Updated October 1, 2021
  • Bitcoin price ascends close to $44,000, but the uptrend slows before confirming breakout above the falling wedge pattern.
  • The US will not follow China and ban cryptocurrencies but maintains there is a need to regulate stablecoins.

Bitcoin has in the last 24 hours shook the ground, lifting above $43,000. The largest cryptocurrency closed the gap at $44,000 but again failed to confirm this breakout.

Meanwhile, BTC has retreated to trade at $43,530 at writing, and bulls are racing to ensure that losses do not stretch under $42,000 and wipe out all the progress made since mid-week.

According to the general technical picture, BTC is poised to take a leg higher as the weekend approaches. Nonetheless, this might not happen until the bellwether cryptocurrency meets a formidable catalyst.

The US fed Chair Jerome Powell Say US Will Not Ban Cryptocurrencies

On Thursday, the chairman of the United States Federal Bank told the Congress that the United States is unlikely to take China’s approach and impose a ban on cryptocurrencies. Jerome Powell made the declaration during a hearing with the House Committee on Financial Services.

He was responding to a question posed by Representative Ted Budd (R-NC) of North Carolina, “as a matter of policy, is it your intention to ban or limit the use of cryptocurrencies like we’re seeing in China?”

While the country does not intend to ban cryptocurrency transactions and use, Powell said they need to regulate the digital currency space, especially stablecoins.

“But stablecoins are like money-market funds, they are like bank deposits, but they are, to some extent, outside of the regulatory perimeter. It’s appropriate that they be regulated. Same activity, same regulation.”

Bitcoin Stalls At The Edge Of A Major Breakout

The latest Bitcoin ascent brought it to close a potential bullish breakout. However, it is clear that buyers still lack the power to make a significant step north.

Realize that the 12-hour chart reveals a falling wedge pattern, which analysts and traders consider highly bullish. A break must be confirmed above the upper descending to launch BTC 10% higher, slightly above p$48,000.

BTC/USD 12-Hour Chart

BTC/USD price chart
BTC/USD price chart by Tradingview

At the same time, the MACD confirms the bullish outlook following a buy signal in the same timeframe. Despite the sluggish price action, Bitcoin remains in the bulls’ hands. Nonetheless, investors remain cautiously bullish, especially with regulatory uncertainty hovering.

Bitcoin Intraday Levels

Spot rate: $43,530

Trend: Bearish bias

Volatility: Low

Support: The 200 SMA

Resistance: $44,000 and $48,000

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Disclaimer
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
About Author
John Isige
1146 Articles
John is a talented writer with over two years of experience actively contributing to the cryptocurrency industry by providing credible, interesting and easy to read the content. His main focus is on cryptocurrency price analysis and industry news coverage. Lets follow him on Twitter at @jjisige

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